The web3 digital world has been set abuzz as additional findings reveal a staggering $37 million stolen in a notorious web3 casino payment gateway breach. The colossal security infiltration into Alphapo, a cryptocurrency payment service’s hot wallet, resulted in a substantial loss, with the numbers escalating to a jaw-dropping $60 million, and possibly even more.

Unraveling the Multi-Million Dollar Cyber Heist

The digital heist was first flagged on July 23 by eminent blockchain sleuth, ZachXBT. In his reveal, he pointed out that the Alphapo hot wallets had been plundered, losing an upwards of $23 million across Ethereum (ETH), TRON, and Bitcoin (BTC) platforms.

Alphapo’s wallet was reportedly infiltrated across these platforms, with the illicitly acquired funds distributed to various External Owned Accounts (EOAs), further complicating the situation.

Emerging Details of the Intricate Attack

An enlightening update to ZachXBT’s initial investigation was shared on July 25, unraveling an additional $37 million pilfered from TRON and BTC in the cyber heist. This revelation inflated the total estimated theft to a chilling $60 million.

“The characteristics of this attack bear a striking resemblance to Lazarus’s MO. They leave a very distinct digital trail in all their operations,” ZachXBT added in his commentary.

Ramifications on the Online Gambling Industry

De.Fi, the web3 antivirus firm, highlighted Alphapo’s pivotal role as a transaction processor for various gambling services, including HypeDrop, Bovada, and Ignition. In the wake of this significant breach, HypeDrop, an Alphapo client, swiftly suspended withdrawal services.

Following the attack, HypeDrop moved quickly to reassure its users, stating, “Rest assured, your funds remain secure despite the recent incident. We’re vigilantly monitoring the evolving situation and will share updates as they become available.”

HypeDrop further communicated to its users, stating, “Despite the problem encountered with our cryptocurrency provider, your HypeDrop funds remain safe. We anticipate resuming deposits processing once operations are restored.”

Crypto Heist Modus Operandi

The breached wallet, known by the handle Alphapo.eth, had its contents converted into Ethereum by the cybercriminals. The pilfered funds were subsequently rerouted through various channels, including Avalanche and Bitcoin. Etherscan transaction records indicate a steady stream of withdrawals from the Alphapo.eth wallet, with early estimates pegging the stolen token value at around $31 million.

According to reports, the perpetrators of this sophisticated operation are believed to be linked to the digital addresses ‘0x6d2e8,’ ‘0x040a9,’ ‘TDoNAZ,’ and ‘TKSitn.’

Ongoing Investigation

The cybersecurity community at large agrees that the probe into the Alphapo incident is far from over. Preliminary hints by De.Fi propose that a private key leakage might be the potential root cause of this breach.

While the precise stolen Bitcoin amount remains uncertain, with only De.Fi and ZachXBT’s estimates available, the amount discovered so far has surpassed the $60 million mark, highlighting the severity of this massive web3 casino payment provider breach.